Led by California and Texas, twenty states account for more than 75% of the US construction market. The projected recovery in the construction market early next year must be driven by a significant improvement in a large share of these key states. A pickup in construction activity in the thirty smaller states would not be sufficient to set off a national market recovery, says Reed Construction Data chief economist Jim Haughey.

The accompanying table shows 20 of the largest upcoming water treatment and manufacturing construction projects in the U.S.. They are all in the planning stage and are mainly new projects, but may also involve additions and/or alterations.

Shopping centers, hotels, office buildings, medical buildings, educational buildings, libraries and museums, sports and entertainment complexes, industrial projects and government buildings will all be covered on a rotating basis.

There are several reasons for highlighting upcoming large projects. Such jobs have often received a fair amount of media coverage. Therefore, people in the industry are on the lookout for when job-site work actually gets underway. And, as showcase projects, they highlight geographically where major construction projects are proceeding.

Finally, total construction activity is comprised of many small- and medium-sized projects and a limited number of very large developments. But the largest projects, simply by their nature, can dramatically affect total dollar volumes. In other words, the timing and size of these projects have an exaggerated influence on market forecasts.

The housing market improved abruptly in July with another large gain in August. However, most of the reported 4.2% August gain was due to a sharp downward revision of July remodeling spending. This is implausible and may well be revised away shortly as several similar huge month to move changes in this market have been, says Reed Construction Data chief economist Jim Haughey.

Houston and Dallas account for 26% of single family housing starts in the twenty largest metro housing markets, reports Reed Construction Data chief economist Jim Haughey.

This chart features U.S. Housing Permits per 1,000 population based on the latest 12 months and residential permits for cities ranked 301-361.